The Subdivision and Housing Developers Association (SHDA) is backing a Department of Justice (DOJ) legal opinion that could help reduce administrative delays in land acquisition, citing its potential to support the supply of affordable homes for Filipino consumers.
DOJ Legal Opinion No. 16, Series of 2026, provides that private agricultural land transactions without an existing Notice of Coverage (NOC) no longer require a Land Transfer Clearance (LTC) from the Department of Agrarian Reform (DAR). The DOJ explained that the five-hectare retention limit previously used as the basis for the clearance requirement ceased to be effective after June 30, 2014, under the statutory timeline of the Comprehensive Agrarian Reform Program Extension with Reforms (CARPER).
The clarification could help developers move qualifying land transactions forward with fewer administrative steps. This may reduce delays in title transfer and allow housing projects to progress toward financing, permitting, site preparation, and construction more efficiently.
For consumers, a more efficient development process could help support efforts to expand the availability of residential properties. SHDA said that reducing transaction costs and unnecessary delays is one way to improve the conditions for increasing the country’s housing supply, although the eventual impact will depend on implementation and other factors affecting development.
Engr. Francis Richmond Z. Villegas, SHDA Chairman of the Board, said clear and consistent land administration procedures are important to helping developers and other stakeholders make informed decisions, plan project timelines, and pursue investments with confidence.
The association stressed, however, that the removal of the LTC requirement for qualifying transactions does not exempt developers from other legal obligations. Applicable requirements remain in place, including DAR land use conversion rules, local zoning ordinances, and environmental clearances from the Department of Environment and Natural Resources (DENR), alongside other housing development regulations.
SHDA members account for 80% of the homes produced in the Philippines each year. The association believes that streamlining administrative processes can contribute to the wider goal of making more housing projects viable, while maintaining compliance with existing laws.
SHDA is now calling on the DAR, Land Registration Authority (LRA), and Registers of Deeds (RODs) to establish joint administrative guidelines that will standardize procedures and documentary requirements nationwide. According to the association, consistent implementation is necessary to ensure that the legal clarification results in practical improvements rather than different processes across government offices.
National President Kerwin V. Padua said uniform guidelines would give landowners, developers, and financial institutions greater certainty when carrying out land transactions. This predictability is particularly important for projects that depend on coordinated decisions and timely completion of regulatory steps.
SHDA reaffirmed its commitment to working with government agencies to support a transparent and efficient land administration system. The association said that reducing avoidable delays, while preserving existing legal requirements, could help strengthen the environment for responsible housing development and contribute to efforts to address the country’s need for affordable homes.
About SHDA
The Subdivision and Housing Developers Association (SHDA), Inc. is a leading industry organization for housing and urban development in the Philippines. It has 350 members nationwide and eight regional chapters, and has worked with housing policymakers, shelter agencies, and industry stakeholders for more than 50 years. SHDA members build approximately 80% of homes produced annually in the country. For more information, visit shda.ph.